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The Wall Street Journal reported that due to trade loopholes, e-commerce companies such as Chinese clothing brand Xiyin and Pinduoduo’s overseas version Temu have seen a surge in the entry of duty-free small packages into the United States, which will be subject to stricter scrutiny.
The U.S. Department of Homeland Security plans to take action in response to the situation, including more stringent inspections of small-value exemption packages to ensure that U.S. forced labor bans are not violated. The move, aimed at cracking down on illegal clothing imports, has the support of U.S. industry groups, unions and lawmakers from both parties.
Temu and Xiyin may have accounted for a third of the small-value exemption shipments, but both companies responded to the forced labor allegations by saying they were unsubstantiated.
(Source: Oriental Daily Picture source: freepik)
